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Kontafarma Faces Potential Winding Up of Taiwanese Associate

Story Highlights
  • Kontafarma’s associate, True Concept, faces potential winding up due to financial struggles.
  • True Concept’s closure impacts stakeholders with debts exceeding HK$771.1 million.
  • Looking for the best stocks to buy? Follow the recommendations of top-performing analysts.
Kontafarma Faces Potential Winding Up of Taiwanese Associate

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Kontafarma China Holdings Ltd ( (HK:1312) ) has issued an announcement.

Kontafarma China Holdings Ltd announced the potential winding up of its associate, True Concept Ltd, due to severe operational challenges and financial constraints in the Taiwanese fitness industry. Despite efforts to improve conditions, True Concept’s business has deteriorated, leading to the closure of its fitness centers and potential legal proceedings for liquidation. The company has recognized significant impairment losses, and True Concept’s total debts exceed HK$771.1 million, affecting various stakeholders including employees and creditors.

More about Kontafarma China Holdings Ltd

Kontafarma China Holdings Ltd operates in the fitness industry, focusing on providing fitness and wellness services through its subsidiaries. The company is involved in the franchising of fitness centers under the ‘True Fitness’ and ‘True Yoga’ brands in Taiwan.

Average Trading Volume: 5,488,525

Technical Sentiment Signal: Buy

Current Market Cap: HK$195.3M

For detailed information about 1312 stock, go to TipRanks’ Stock Analysis page.

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